Income statement disclosures

11 Revenue by business unit

Group revenue fell by €1,331 million to €82,855 million in the 2025 fiscal year. Revenue in the Express division was down by €705 million, of which €678 million was due to currency effects. The fall in shipment volumes to the United States due to changes in trade and customs regulations was among the factors contributing to the decline. Due to lower freight rates, the Global Forwarding, Freight division recorded a €1,101 million fall in revenue to €17,302 million. This included negative currency effects of €328 million. Despite negative currency effects of €560 million, revenue in the Supply Chain division increased slightly as a result of new business deals, contract extensions and continuing growth in eCommerce business. Revenue in the eCommerce division was slightly down year on year, partly due to negative currency effects of €147 million. At €17,405 million, revenue in the Post & Parcel Germany division in the fiscal year exceeded the prior-year figure by €512 million. This was driven by price increases and the sustained growth in the Parcel Germany business unit, while the German letter mail business declined in terms of mail volumes.

The contract liabilities of €7 million recognized at the beginning of the fiscal year (previous year: €4 million) primarily led to revenue in the fiscal year.

The following table shows the factors affecting revenue:

The allocation of revenue to geographical regions is presented in the segment reporting.

12 Other operating income

Other operating income was level with the prior year.

While income from the remeasurement and derecognition of liabilities declined due to numerous individual items, income from the disposal of assets rose by €222 million. Income from the disposal of assets includes €214 million from the disposal of the British eCommerce companies and €15 million from the sale of Deutsche Post DHL Facility Management Deutschland GmbH, note 2.

The lower income from currency translation resulted from the volatility on currency markets. It is set against corresponding expenses, note 17.

In addition to a large number of smaller individual items, miscellaneous other operating income also includes dividend income of €2 million (previous year: €2 million) as well as €17 million (previous year: €2 million) from reversals of impairment losses. In the 2025 fiscal year, these related solely to the Supply Chain segment.

13 Changes in inventories and work performed and capitalized

Changes in inventories are attributable largely to real estate development projects, while work performed and capitalized largely relates to IT projects.

14 Material expense

Material expense reduced particularly due to lower expenditure on aircraft fuel as a result of price cuts and lower consumption volumes in the Express division as well as due to lower transport costs in the Global Forwarding, Freight division.

Aircraft fuel expenses include additional costs for sustainable aviation fuel in the amount of €205 million (previous year: €121 million) that DHL Group uses as part of its decarbonization measures.

The other expenses item includes furthermore a large number of individual items.

15 Staff costs/employees

Staff costs relate mainly to wages, salaries and compensation, as well as all other benefits paid to employees of the Group for their services in the fiscal year.

Staff costs were slightly down year on year. Wage and salary increases were offset by a lower headcount and negative currency effects.

Social security contributions relate, in particular, to statutory social security contributions paid by employers.

Retirement benefit expenses include the service cost related to the defined benefit retirement plans, note 37. These expenses also include contributions to defined contribution retirement plans for civil servants in Germany in the amount of €269 million (previous year: €285 million), as well as for the Group’s hourly workers and salaried employees in the amount of €534 million (previous year: €542 million), note 7.

The average number of Group employees in the reporting period, broken down by employee group, was as follows:

The employees of companies acquired or disposed of during the fiscal year were included on a pro rata basis. The number of full-time equivalents at joint operations included in the consolidated financial statements as of December 31, 2025, amounted to 727 on a proportionate basis (previous year: 637).

16 Depreciation, amortization and impairment losses

Depreciation, amortization and impairment losses increased, particularly due to investments, notes 22 and 23.

The impairment losses are spread among the various asset classes and segments as follows:

17 Other operating expenses

Other operating expenses rose by €181 million year on year.

The lower currency translation expenses resulted from the volatility on currency markets. They are set against corresponding income, note 12.

The increase in other business taxes resulted primarily from provision expenses for a VAT-related matter in the amount of €64 million. Other business taxes essentially comprise taxes other than income tax. They are recognized either in the related expense item or, if no specific allocation is possible, in other operating expenses.

Miscellaneous other operating expenses include a large number of smaller individual items.

18 Net finance costs

Of interest income, €42 million (previous year: €34 million) relates to income from finance lease receivables. Further disclosures on interest income and expenses are contained in note 44. The expense from the unwinding of discounts on bonds resulting from the application of the effective interest method amounted to €10 million (previous year: €12 million).

Gains and losses on changes in fair value of financial assets and liabilities primarily relate to pension plans in the United States.

The foreign-currency result includes net monetary gains of €80 million (previous year: €60 million) related to financial reporting in hyperinflationary economies.

Information on interest expenses from unwinding discounted net pension provisions can be found in note 37.

19 Income taxes

DHL Group falls within the scope of the Pillar Two global minimum taxation rules. These require a top-up tax to be paid on profits in jurisdictions with an effective tax rate of less than 15%. The Group’s current income tax expense as a result of the Pillar Two taxation rules is €2 million.

The reconciliation to the effective income tax expense based on consolidated net profit before income taxes and the expected income tax expense (tax rate 30.5%; previous year: 30.5%) is as follows:

Effects from deferred tax assets not recognized for tax loss carryforwards and temporary differences in the amount of €3 million (previous year: €25 million) relate to the reduction of the effective income tax expense due to the utilization of tax loss carryforwards for which deferred tax assets had previously not been recognized. The recognition of deferred tax assets previously not recognized for tax loss carryforwards and of deductible temporary differences from a prior period reduced the deferred tax expense by €16 million (previous year: €40 million). In addition, the write-down of deferred tax assets in the amount of €33 million increased deferred tax expenses. Other effects from unrecognized deferred tax assets relate primarily to tax loss carryforwards for which no deferred taxes were recognized. Other tax effects include deferred tax income of €21 million due to tax rate changes.

A deferred tax asset in the amount of €50 million (previous year: €29 million) was recognized in the balance sheet for companies that reported a loss in the previous year or in the current period as, based on tax planning, the realization of the tax asset is probable.

The following table presents the tax effects on the components of other comprehensive income:

20 Earnings per share

Basic earnings per share are computed in accordance with IAS 33, Earnings per Share, by dividing the consolidated net profit by the weighted average number of shares outstanding. Outstanding shares relate to issued capital less any treasury shares held.

Basic earnings per share for the 2025 fiscal year were €3.09 (previous year: €2.86).

To compute diluted earnings per share, the weighted average number of shares outstanding is adjusted for the number of all potentially dilutive shares. This item includes the executives’ rights to shares under the Performance Share Plan and Share Matching Scheme (as of December 31, 2025: 4,407,348 shares; previous year: 3,134,102). It also includes the maximum number of ordinary shares that can be issued on exercise of the conversion rights under the convertible bond issued in December 2017. The convertible bond was fully repaid in 2025 and is included in the calculation on a pro rata basis.

Diluted earnings per share in the reporting period were €3.04 (previous year: €2.81).

21 Dividend per share

A dividend per share of €1.90 is being proposed for the 2025 fiscal year (previous year: €1.85 paid). Further details on the dividend distribution can be found in note 35.